Ministry of energy briefs Public Accounts Committee about rising circular debt

January 01, 2019 (MLN): Public Accounts Committee held a meeting in Islamabad on Monday under the chairmanship of Mian Muhammad Shahbaz Sharif. .

Ministry of energy’s secretary briefed the PAC regarding increase in Circular debt to an all-time high level to Rs. 1362 billion.

Moreover, he said that the Power sector’s circular debt has risen to Rs. 755 billion, whereas the Power holding company’s debt stands at Rs. 607 billion.

The committee was informed that Government has to pay Rs. 450 billion to IPPs.

He said that the existing Power installation is around 33316 MW while its capacity is 31000 MW.

Share of hydel in power generation has been around 27 percent, whereas RLNG share is 26 percent, fuel oil share is 16 percent and gas share 12 percent, he added.

Electricity production from coal is 9%, atomic is 5% and production from other sources is 5%

The committee established that the total investment in power sector will be $25 billion under CPEC. Through CPEC, electricity production is expected to increase by 12334 MW. Currently, 7 projects stand completed generating 3340 MW from CPEC, whereas 13 projects under construction are expected to generate 7240 MW.

Auditor General of Pakistan briefed the committee on matters related to the Grand Hayat Hotel and New Islamabad Airport projects.

Shahbaz Sharif constituted a sub-committe to submit a detailed report in thirty days over the matter.

PAC also formed another sub-committee under the chairmanship of Shahida Rehmani, which will report about the capacity building of government institutions.

Copyright Mettis Link News

Posted on: 2019-01-01T12:34:00+05:00

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